Legal moves to disqualify Phoenix Four

Government legal moves to disqualify the Rover 'Phoenix Four' bosses from holding directorships are now 'likely', the chairman of the House of Commons business select committee announced last night.

Mandelson: Pursuing moves to disqualify the Phoenix Four

That was the reason Peter Luff gave for postponing an evidence session with the four - John Towers, Nick Stephenson, Peter Beale and John Edwards.

Last night Lord Mandelson's Business Department denied putting any pressure on the committee to defer the Phoenix Four's evidence until after the general election for fear of the political embarrassment it might cause, especially around key West Midlands marginal seats.

Mandelson said in September at the publication of the damning report into the demise of the last British owned volume car-maker, that he would pursue moves to disqualify them, urging them to 'do the decent thing' and disqualify themselves first.

But the Four, who between them legally extracted £42m from the ailing firm, branded the report a 'whitewash for the government'.

And they complained it did not address the degree to which key ministers and officials - including then Chancellor Gordon Brown and former Trade and Industry Secretary Stephen Byers - played a significant role in events.